Treatment of securities--Stock-in-trade or investment--Regarding

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....A.II), dated 24th April, 1991 ([1991] 189 ITR (St.) 126), it was clarified that securities held by banks must be regarded as their stock-in-trade and the claim of loss, if debited in the books of account, should be given the same treatment as is normally given to the stock-in-trade. It was also clarified that the interest paid for broken-period on the purchase of securities must be regarded as rev....

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.... accorded to securities held by banks. In the case of Vijaya Bank Ltd. (187 ITR 541), the Supreme Court considered the issue whether, in a case where the assessee purchase securities at a price determined with reference to their actual value as well as the interest accrued thereon till the date of purchase, the entire price paid for them would be in the nature of capital outlay or whether the inte....